86 Blue Jay Ln

Red Feather Lakes, CO 80545

$160,000A-

1 bd · None ba · 480 sqft · Built 1956 · SingleFamily · Active · 205 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,545/mo
• Mortgage (P&I): −$839
• Tax + insurance: −$168
• HOA: −$0
• Vac / Maint / Mgmt: −$535
• Net cashflow: $1,004/mo
• Annual: $12,051/yr
• Cap rate: 13.82%
• Cash-on-cash: 26.90%
• DSCR: 2.20
• 1% rule: 1.59%
• Cash to close: $44,800

Investor read

• This is a 1-bed/?-bath single-family listed at $160k. Condition is rated fair.
• At list price, monthly cash flow is $1k ($12k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $160k).
• It's been on market 205 days — a 12% lower offer ($141k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $141k (12.0% below list) — sets the bar for market timing.
• In year one you build about $215 of equity ($1k loan paydown + $-891 appreciation (-0.6% local appreciation)).
• Location reads 55/100 on livability (#344 in CO) — a working-class tenant base; expect higher turnover. Strengths: employment B+, housing B+; Watch: cost of living C-, crime D-, amenities F.
• Poudre School District R-1 (urban): math 45% / reading 60% proficiency, ranked #10 of 86 in CO (top 12%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Cache La Poudre Elementary School (math 44% / reading 37%, grade F, #342 of 966 statewide, top 36%, 298 students, 32% FRL); Cache La Poudre Middle School (math 37% / reading 52%, grade D, #56 of 270 statewide, top 23%, 324 students, 28% FRL); Poudre High School (math 36% / reading 59%, grade D, #131 of 381 statewide, top 34%, 1,663 students, 38% FRL).
• Watch-outs: built in 1956 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 182 active listings in the ZIP; solid renter incomes; 1,786 units permitted in Larimer County in 2024 (402 in 5+ unit buildings).
• Larimer County population projected at +51% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts; this cycle's ask has dropped $35k (18%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $29k; list at $160k implies a 454% gain — meaningful room to come down on a strong offer.
• At projected returns (-0.6% appreciation + 3.0% rent growth), your $45k cash investment doubles in ~4 years — after that, you're playing with house money.
• Cap rate 13.8% vs local median 4.9% in Red Feather Lakes — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.
• This rent runs 33% of the median local income ($92k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• It's been on market 205 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1956 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
• What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.

Repairs flagged (vision-AI assessment)

• Major: roof — The roof appears to be in poor condition and may need replacement.
• Major: exterior siding — The exterior siding is weathered and shows signs of aging.
• Major: fencing — The fencing is in poor condition and appears to be leaning.
• Major: flooring — The flooring in the interior appears to be carpeted and in poor condition, with visible wear and tear.
• Major: interior walls — The interior walls are in poor condition, with visible wear and tear and peeling paint.
• Major: HVAC system — The HVAC system appears to be old and may need replacement.